Monday, December 23, 2013

What happened to the Kalpitiya Resort Development?

There was so much hype with regard to the massive Tourist infrastructure that was supposed to be taking place in Kalpitiya where around 11 islands were also leased out to foreign resort holders for mega bucks so they could build massively expensive resorts. I believe there was also a hotelier from Sri Lanka who was planning a 5,000 room mega resort also.

The link refers to the indefinite delay of the Citrus Kalpitiya Resort owing to the non-existent plan for the development of Kalpitiya in the first place.

As with everything Mega, they turn out to be Mega flops. They appear in the minds of the inventor, who hope to cash big on either amassing some land and selling it on to the highest bidder, or doing some deal after the hype has stirred interest, not really interested in how this project will proceed from there.

See the link on the 4,000 acres and US$4.2B Integrated Development plan:

As one can see from the above web page the whole thing even reeks of a scam in the making, to fool as many people to part with their money for quicksand!

It is in this same premise that the Shangri La is a non starter, Krish is a gonner, the land next to Shangi La to Chinese ITC also has been put on permanent hold and so the story goes on. Don’t be surprised if Paker goes the same way along with the JKH resort and the Queensberry as without a Casino, there is NO Business model for mega resorts on DR Wijewardene Mawatha.

It is this sinking feeling that we have people in Sri Lanka with enormous imaginations but little practical sense. Unless some big whig has a stake in the filling up of the sea in the new 500 Hectare land by the Colombo Port, that too will go the same way.

I certainly DO NOT want to sound like a downer, but I am merely warning Investors that they cannot trust the word of this Govt. as shown by ample evidence above and elsewhere. Their track record in smoothly facilitating new developments is more than gruesome, more like hell! So until saner human beings can be given the reins of power with a vision to realize, there will be more of these hallucinatory utterances that no one should take seriously.

It is time to take stock, and allow our small time entrepreneurs to grow their entities unhindered, with the big players left to dream up empires in their sleep.      

1 comment:

Anonymous said...

the blame is misplaced if you place it on the government. these development projects are floated by businesses who then look to pawn the project onto someone else for a massive profit, from a piece of paper. classic business model for big wig businessmen who add no value to the process other than getting a piece of approved paper. packer, who i hope will be sent packing, is giving his partner a 100+++ million dollar bonanza for his piece of paper, and the rest hoped for the same. until sri lankan businessmen learn how to add value, there will be little actual development unless then can find a fool like packer to pack it on to.